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2025 Regular Session
SENATE BILL NO. 151
BY SENATOR MIZELL
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
PROCUREMENT CODE. Provides relative to the Louisiana Procurement Code.
(gov sig)
1 AN ACT
2 To amend and reenact R.S. 39:1594(C)(1), 1595, 1621(A), (B), and (C)(1) and (3), 1630,
3 1641(A), 1643(A), 1644(A)(1), (B), and (C), 1671(F), 1672.3, 1672.4(A),
4 1683(E)(2), 1685(E)(2), the heading of 1691 and (A), (C), and (D), 1692(C), and
5 1702(A)(1) and to repeal R.S. 39:1600.2(B), relative to the Louisiana Procurement
6 Code; to provide for advertisement and notice requirements for procurement and
7 exceptions; to provide for competitive sealed proposals; to provide for negotiation
8 and award of contracts; to provide for methods of procurement; to provide for the
9 utilization requirements of certain procurement methods; to establish procedures for
10 contract negotiations; to provide for the authority and duties of the commissioner of
11 administration with respect to procurement and protests; to provide for certain
12 exemptions; to provide relative to lease contracts; to provide for amendment of lease
13 contracts; to provide for legal and contractual remedies; to provide relative to
14 administrative appeals; to provide for cooperative purchasing; to provide for an
15 effective date; and to provide for related matters.
16 Be it enacted by the Legislature of Louisiana:
17 Section 1. R.S. 39:1594(C)(1), 1595, 1621(A), (B), (C)(1) and (3), 1630, 1641(A),
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1 1643(A), 1644(A)(1), (B), and (C), 1671(F), 1672.3, 1672.4(A), 1683(E)(2), 1685(E)(2), the
2 heading of 1691 and (A), (C), and (D), 1692(C), and 1702(A)(1) are hereby amended and
3 reenacted to read as follows:
4 §1594. Competitive sealed bids
5 * * *
6 C. Public notice.
7 (1) Adequate public notice of the invitation for bids shall be given at least ten
8 five days prior to the date set forth therein for the opening of bids on all matters
9 except those made for housing of state agencies, their personnel, operations,
10 equipment, or activities pursuant to R.S. 39:1643, for which such notice shall be
11 given at least twenty days prior to the opening of bids. Notice shall be in writing and
12 to persons in a position to furnish the supplies, services, or major repairs required,
13 as shown by its records, and by advertising if the amount of the purchase is
14 twenty-five thousand dollars or more exceeds the amount provided by the small
15 purchase executive order issued in accordance with R.S. 39:1596.
16 * * *
17 §1595. Competitive sealed proposals
18 A.(1) Notwithstanding any other provision of this Section to the contrary,
19 with the approval of the commissioner and the written determination by the state
20 chief procurement officer that the best interests of the state would be served, a
21 competitive request for proposals process as provided in this Subsection may be used
22 in the following circumstances:
23 (a) For the procurement of supplies, services, or major repairs, including but
24 not limited to the procurement of high technology acquisitions or of complex
25 services.
26 (b) Through a contract with a group purchasing organization, for the
27 procurement of medical and laboratory supplies and medical equipment required for
28 the purpose of diagnosis or direct treatment of a patient by a health care provider in
29 a hospital or clinical setting, provided the commissioner determines the total cost to
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1 be less than the state procurement prices and in the best interest of the state.
2 (c) The approval and written determination requirements requirement of this
3 Paragraph shall not apply to a request for proposals for professional, personal,
4 consulting, or social services.
5 (2) For a contract to be let under the provisions of this Subsection, the agency
6 shall give adequate public notice of the request for proposals by advertising in the
7 official journal of the state through a centralized electronic interactive
8 environment administered by the division of administration and on the
9 electronic website accepting the electronic bids as provided in this Section at
10 least thirty days before the last day that proposals will be accepted. The agency may
11 also advertise in the official journal of the state. In addition, the agency shall
12 provide written or electronic notice to persons, firms, or corporations who are
13 known to be in a position to furnish the required services at least thirty days before
14 the last day that proposals will be accepted. The agency shall also notify the Board
15 of Regents of the request for proposals at least thirty days before the last day that
16 proposals will be accepted.
17 B. Requests for proposals.
18 (1) For consulting service contracts with a total maximum compensation of
19 fifty one hundred thousand dollars or more, except for such contracts entered into
20 by the Department of Transportation and Development, adequate public notice of the
21 request for proposals shall be given by advertising through a centralized electronic
22 interactive environment administered by the division of administration and on
23 the electronic website accepting the electronic bids as provided in this Section.
24 The agency may also advertise in the official journal of the state and in one or more
25 newspapers of general circulation in the state at least once. The electronic
26 advertisement shall appear at least thirty days before the last day that proposals will
27 be accepted. When available, advertisements shall may be placed in those national
28 trade journals which serve the particular type of contractor desired. In addition,
29 written or electronic notice shall be provided to persons, firms, or corporations who
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1 are known to be in a position to furnish such services, at least thirty days before the
2 last day that proposals will be accepted. The agency shall also notify the Board of
3 Regents of the request for proposals at least thirty days before the last day that
4 proposals will be accepted.
5 (2) For social service contracts not qualifying under R.S. 39:1619(B),
6 adequate public notice of the request for proposals shall be given by advertising
7 through a centralized electronic interactive environment administered by the
8 division of administration and on the electronic website accepting the electronic
9 bids as provided in this Section. The agency may also advertise in the official
10 journal of the state, in the official journal of the parish in which the services are to
11 be performed and such other newspapers, bulletins, or other media as are appropriate
12 in the circumstances. Such advertisements shall appear at least once in the official
13 journal of the state and once in the official journal of the parish. If the services are
14 to be performed in or made available to residents of a multiparish area, advertising
15 in the official journal of the state and in one or more newspapers of general
16 circulation in the state at least once shall be sufficient to meet this requirement. In
17 all cases, the electronic advertisement shall appear at least fourteen days before the
18 last day that the proposals will be accepted. In addition, written or electronic notice
19 shall be provided to persons, firms, or corporations who are known to be in a
20 position to furnish such services, at least fourteen days before the last day that
21 proposals will be accepted. This last requirement is subject to reasonable limitation
22 at the discretion of the using agency. The agency shall also notify the Board of
23 Regents of the request for proposals at least fourteen days before the last day that
24 proposals will be accepted.
25 (3) For consulting service contracts entered into by the Department of
26 Transportation and Development with a total maximum compensation of fifty one
27 hundred fifty thousand dollars or more, adequate public notice of the request for
28 proposals shall be given by advertising through a centralized electronic interactive
29 environment administered by the division of administration and on the
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1 electronic website accepting the electronic bids as provided in this Section. The
2 agency may also advertise in the official journal of the state at least once. The first
3 notice or advertisement shall appear at least fifteen days before the last day that
4 proposals will be accepted. In addition, written or electronic notice shall be provided
5 to persons, firms, or corporations who are known to be in a position to furnish such
6 services, at least fifteen days prior to the last day that proposals will be accepted. The
7 agency shall also notify the Board of Regents of the request for proposals at least
8 fifteen days before the last day that proposals will be accepted.
9 (4) All requests for proposals shall be advertised through a centralized
10 electronic interactive environment administered by the division of administration and
11 on the electronic website accepting the electronic bids as provided in this Section.
12 The electronic advertisement or written notice required by this Section shall contain
13 the name and address of the using agency and shall establish the specific date, time,
14 and place by which the request for proposals must be received.
15 (5) The requests for proposals:
16 (a) For consulting, social, and professional services not otherwise exempt by
17 law or regulation shall indicate the relative importance of price and other evaluation
18 factors, shall clearly define the tasks to be performed under the contract, the criteria
19 to be used in evaluating the proposals and the time frames within which the work
20 must be completed.
21 (b) For all others, it shall clearly state the technological or other outcome
22 desired from the procurement of the supplies, services, or major repairs, if
23 applicable, and shall indicate the relative importance of price and other evaluation
24 factors, the criteria to be used in evaluating the proposals, and the time frames within
25 which the work must be completed, if applicable.
26 (6)(a) Proposals shall be submitted in writing in accordance with the
27 requirements set forth in the request for proposals or electronically through a
28 uniform and secure electronic interactive environment.
29 (b) Public entities shall provide, as an additional option for submission of
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1 proposals, a uniform and secure electronic interactive system for the submission of
2 competitive sealed proposals as provided for in this Section. Any public entity
3 providing a secure electronic interactive system shall follow the standards for the
4 receipt of electronic bids adopted by the office of the governor, division of
5 administration, and the office of information technology as provided for in LAC
6 4:XV.701. Any special condition or requirement for the submission shall be
7 specified in the advertisement of the request for proposals required by this Section.
8 (c) The requirements of Subparagraph (b) of this Paragraph shall not apply
9 to the following public entities:
10 (i) Public entities that are currently without high-speed Internet access, until
11 high-speed Internet access becomes available.
12 (ii) Any parish with a police jury form of government and a population of less
13 than twenty thousand.
14 (iii) Any city or municipality with a population of less than ten thousand.
15 (iv) Any public entity that is unable to comply with the electronic proposal
16 submission provisions of this Subsection without securing and expending additional
17 funding.
18 (7) Written or oral discussions shall be conducted with all responsible
19 proposers who submit proposals determined in writing to be reasonably susceptible
20 of being selected for award. Discussions The state shall not disclose any information
21 derived from proposals submitted by competing proposers until after the contract
22 is awarded. Discussions need not be conducted:
23 (a) If prices are fixed by law or regulation, except that consideration shall be
24 given to competitive terms and conditions.
25 (b) If time of delivery or performance will not permit discussions.
26 (c) If it can be clearly demonstrated and documented from the existence of
27 adequate competition or accurate prior cost experience with the particular service
28 that acceptance of an initial offer without discussion would result in fair and
29 reasonable prices, and the request for proposals notifies all proposers of the
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1 possibility that award may be made on the basis of the initial offers.
2 (8)(a) Award shall be made to the responsible proposer whose proposal is
3 determined in writing by the using agency to be the most advantageous to the state,
4 taking into consideration review of price and the evaluation factors set forth in the
5 request for proposals.
6 (b) A request for proposals or other solicitation may be cancelled or all
7 proposals may be rejected only if it is determined, based on reasons provided in
8 writing, that such action is taken in the best interest of the state.
9 (9) A request for proposals or other solicitation may be cancelled or all
10 proposals may be rejected only if it is determined, based on reasons provided in
11 writing, that such action is taken in the best interest of the state.
12 (10) Each contract entered into pursuant to this Subsection shall contain as
13 a minimum:
14 (a) Description of the work to be performed or objectives to be met, when
15 applicable.
16 (b) Amount and time of payments to be made.
17 (c) Description of reports or other deliverables to be received, when
18 applicable.
19 (d) Date of reports or other deliverables to be received, when applicable.
20 (e) Responsibility for payment of taxes, when applicable.
21 (f) Circumstances under which the contract can be terminated either with or
22 without cause.
23 (g) Remedies for default.
24 (h) A statement giving the legislative auditor the authority to audit records
25 of the individual or firm.
26 (i) Performance measurements.
27 (j) Monitoring plan.
28 (11)(a) Upon entering into a contract, the using agency shall have full
29 responsibility for the diligent administration and monitoring of the contract. The
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1 state chief procurement officer may require the using agency to report at any time
2 on the status of any such outstanding contracts to which the using agency is a party.
3 After completion of performance under a contract, the using agency shall evaluate
4 contract performance and the utility of the final product. This evaluation shall be
5 delivered to the state chief procurement officer or his designee or the director of
6 purchasing at a college or university, as applicable, within one hundred twenty days
7 after completion of performance and shall be retained in the official contract file.
8 (b)(i) No contract shall be valid, nor shall the state be bound by the contract,
9 until it has first been executed by the head of the using agency, or his designee,
10 which is a party to the contract and the contractor and has been approved in writing
11 by the state chief procurement officer or his designee or the director of purchasing
12 at a college or university, as applicable.
13 (ii) In cases where the head of the using agency wants to delegate authority
14 to one or more of his subordinates to sign contracts on behalf of the agency, this
15 delegation shall be made in accordance with regulations of the commissioner and
16 shall be subject to the approval of the state chief procurement officer.
17 (8) Modification or withdrawal of proposals. Proposals may be modified
18 or withdrawn at any time prior to the conclusion of discussions.
19 (9) Negotiation and award of contract. The using agency shall negotiate
20 a contract with the responsible proposer whose proposal is determined in
21 writing by the using agency to be the most advantageous to the state, taking into
22 consideration review of price and the evaluation factors set forth in the request
23 for proposals.
24 (10) Elements of negotiation. Contract negotiations shall be directed
25 toward:
26 (a) Making certain that the proposer has a clear understanding of the
27 scope of the work, services, or supplies, specifically, the essential requirements
28 involved in providing the required work, services, or supplies.
29 (b) Determining that the proposer will make available the necessary
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1 personnel and facilities to perform the services within the required time.
2 (c) Agreeing upon compensation which is fair and reasonable, taking into
3 account the estimated value of the required work, services, or supplies, and the
4 scope, complexity, and nature of such work, services, or supplies.
5 (11) Successful negotiation of contract with most advantageous proposer.
6 If compensation, contract requirements, and contract documents can be agreed
7 upon with the most advantageous proposer, the contract shall be awarded to
8 that proposer. Each contract entered into pursuant to this Subsection shall
9 contain at a minimum:
10 (a) The commencement date which is at least fourteen days after the
11 notice of award is issued.
12 (b) A description of the work to be performed or objectives to be met,
13 when applicable.
14 (c) The amount and time of payments to be made.
15 (d) A description of reports or other deliverables to be received, when
16 applicable.
17 (e) The date of reports or other deliverables to be received, when
18 applicable.
19 (f) Responsibility for payment of taxes, when applicable.
20 (g) Circumstances under which the contract can be terminated either
21 with or without cause.
22 (h) Remedies for default.
23 (i) A statement giving the legislative auditor the authority to audit
24 records of the individual or firm.
25 (j) Performance measurements.
26 (k) A monitoring plan.
27 (12)(a) Upon entering into a contract, the using agency shall have full
28 responsibility for the diligent administration and monitoring of the contract.
29 The state chief procurement officer may require the using agency to report at
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1 any time on the status of any such outstanding contracts to which the using
2 agency is a party. After completion of performance under a contract, the using
3 agency shall evaluate the contract performance and the utility of the final
4 product. This evaluation shall be delivered to the state chief procurement
5 officer, or his designee, or the director of purchasing at a college or university,
6 as applicable, within one hundred twenty days after completion of performance
7 and shall be retained in the official contract file.
8 (b)(i) No contract shall be valid, nor shall the state be bound by the
9 contract, until it has first been executed by the head of the using agency, or his
10 designee, on behalf of the using agency, which is a party to the contract and the
11 contractor and has been approved in writing by the state chief procurement
12 officer, or his designee, or the director of purchasing at a college or university,
13 as applicable.
14 (ii) The head of the using agency may delegate authority to one or more
15 of his subordinates to sign contracts on behalf of the using agency in accordance
16 with and subject to regulations of the commissioner and shall be subject to the
17 approval of the state chief procurement officer.
18 (iii) Upon approval of the contract by the state chief procurement officer,
19 or his designee, the office of state procurement shall send written notice of the
20 award to the contractor and a copy of such notice to all other proposers.
21 (13) Failure to negotiate contract with most advantageous proposer.
22 (a) If compensation, contract requirements, or contract documents
23 cannot be agreed upon with the most advantageous proposer, a written record
24 stating the reasons therefore shall be placed in the contract file and the using
25 agency shall advise such proposer of the termination of negotiations which shall
26 be confirmed by written notice within three business days.
27 (b) Upon failure to negotiate a contract with the most advantageous
28 proposer, the using agency may enter into negotiations with the next most
29 advantageous proposer. If compensation, contract requirements, and contract
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1 documents can be agreed upon, then the contract shall be awarded to that
2 proposer. If negotiations again fail, negotiations shall be terminated as provided
3 in Subparagraph (a) of this Paragraph and commenced with the next most
4 advantageous proposer.
5 (c) If the using agency is unable to negotiate a contract with any of the
6 proposers initially selected as the most advantageous to the state, additional
7 proposers may be selected based on original, acceptable submissions in the
8 order of their respective evaluation score and negotiations may continue in
9 accordance with this Paragraph until an agreement is reached and a contract
10 awarded.
11 (14) A request for proposals or other solicitation may be cancelled or all
12 proposals may be rejected if it is determined, based on reasons provided in
13 writing, that such action is taken in the best interest of the state. A copy of the
14 determination shall be maintained in the contract file.
15 (12)(15) Requests for proposals shall not be required for "interagency
16 contracts" as defined in R.S. 39:1556.
17 (13)(16) Notwithstanding the provisions of this Chapter, all relevant federal
18 statutes and regulations shall be followed by the using agency in procuring services.
19 The burden of complying with these federal statutes and regulations shall rest with
20 the using agency and shall be documented in the contract record submitted to the
21 office of state procurement.
22 * * *
23 §1621. Consulting service contracts
24 A. Contracts for consulting services which have a total maximum amount of
25 compensation less than seventy-five one hundred fifty thousand dollars for a
26 twelve-month period may be awarded without the necessity of competitive bidding
27 or competitive negotiation.
28 B. Contracts for consulting services which have a total maximum amount of
29 compensation of seventy-five one hundred fifty thousand dollars or more for a
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1 twelve-month period shall be awarded through a request for proposal, or reverse
2 auction process, invitation to negotiate, or cooperative purchasing under rules and
3 regulations issued by the office of state procurement. Service requirements shall not
4 be artificially divided so as to exempt contracts from the request for proposal
5 process.
6 C.(1) All contracts for consulting services which have a total maximum
7 amount of compensation of two hundred twenty-five thousand dollars or more may
8 be entered into with the assistance of a procurement support team as provided herein,
9 and in accordance with guidelines promulgated and published by the office of state
10 procurement.
11 * * *
12 (3) Participation of the procurement support team must may include, at a
13 minimum, assistance in development or review of the request for proposals,
14 evaluation of responses received to the request for proposals, and formulation of
15 recommendations to be submitted to the state chief procurement officer concerning
16 the final contract.
17 * * *
18 §1630. Finality of determinations
19 The determinations required by R.S. 39:1568.1, R.S. 39:1597, R.S.
20 39:1598(C), R.S. 39:1605, R.S. 39:1606, R.S. 39:1608(C), R.S. 39:1612(A), and R.S.
21 39:1614, and R.S. 39:1671(F) are final and conclusive unless they are clearly
22 erroneous, arbitrary, capricious, or contrary to law.
23 * * *
24 §1641. Budget for acquisition of housing space and leases by budget units
25 A.(1) Contracts and agreements by and in name of state agencies. All
26 contracts and agreements for the lease or rental of space for the housing of state
27 agencies, their personnel, operations, equipment, or activities shall be made in the
28 name of and by the authorized representative or representative body of the state
29 agency but shall be made and entered into only with the approval of the
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1 commissioner of administration. The cost of such housing shall be provided for in
2 and defrayed from the budgets of the using agencies.
3 (2) All contracts and agreements for the lease or rental space of one
4 thousand or less square feet of a storage unit shall not require the approval of
5 the commissioner or administration.
6 * * *
7 §1643. Advertisement and award of lease bids
8 A. Every lease for the use of five ten thousand square feet or more of space
9 in a privately owned building entered into by a state agency as lessee shall be
10 awarded pursuant to R.S. 39:1594 in accordance with the conditions for use set forth
11 in that Section and only after evaluation of the bids in accordance with the specific
12 criteria contained in the invitation for bids as authorized by R.S. 39:1594(F)(2). No
13 such lease shall extend beyond a period of ten years.
14 * * *
15 §1644. Amendment of leases
16 A.(1) An existing lease for office or warehouse space may be renegotiated
17 with the present lessor, but only after the division of administration has entered into
18 a competitive negotiation process involving discussions with at least three, unless
19 there are less than three, proposers who submit written proposals. Such proposals
20 shall be solicited by advertising as in R.S. 39:1594(C).
21 * * *
22 B. Any lease for office or warehouse space for under five ten thousand
23 square feet may be amended up to but not to exceed a maximum of four nine
24 thousand nine hundred ninety-nine square feet.
25 C. Existing leases for office or warehouse space between a single state
26 agency, a single lessor and affecting a single building or buildings immediately
27 adjacent to each other which leases have different termination dates, may be
28 renegotiated by the division of administration to perfect a single lease for the whole
29 of the office or warehouse space utilized under the existing leases. The renegotiated
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1 lease shall not extend beyond the termination date of the latest existing lease, nor
2 shall the price per square foot paid under the new lease result in a total payment in
3 excess of the total of the combined payments under the preexisting leases.
4 * * *
5 §1671. Authority to resolve protested solicitations and awards
6 * * *
7 F. Stay of procurements during protests Protest bond to stay procurement
8 during protest. In the event of a timely protest under Subsection A of this Section,
9 the state shall not proceed further with the solicitation or with the awarding of the
10 contract unless the chief procurement officer makes a written determination that the
11 awarding of the contract is necessary without delay to protect the substantial interests
12 of the state. Upon such determination by the chief procurement officer, no court shall
13 enjoin progress under the award except after notice and hearing (1) A protester who
14 has timely protested an award may only apply for a stay during the time period
15 provided in Subsection A of this Section to protest an award.
16 (2) A protester may obtain a stay of an award upon posting a bond
17 during the protest period with a good and solvent surety authorized to do
18 business in this state or submit other security, in a form approved by the office
19 of state procurement by rule or regulation, to the office of state procurement,
20 who shall hold the bond or other security until a final determination is made on
21 the protest. A bond posted or other security submitted with a protest shall be
22 in an amount equal to twenty-five percent of the maximum amount of the
23 protested awarded contract. If the total value of the awarded contract cannot
24 be determined because the total requirements for the contract are estimated as
25 of the date of the award, a bond posted or other security submitted with a
26 protest shall be in an amount equal to twenty-five percent of the estimated total
27 value of the contract. Upon request, the state chief procurement officer shall
28 provide the estimated total value of the contract or the method for determining
29 the estimated total value of the contract, based on records of past experience
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1 and estimates of anticipated requirements furnished by the using agency.
2 (3) If the protest is upheld and the award is cancelled, the bond posted
3 or other security submitted with the protest shall be returned to the person who
4 posted the bond or submitted the security. If the protest is rejected and the
5 award is upheld, a claim may be made against the bond or other security by the
6 using agency to the office of state procurement in an amount equal to the
7 expenses incurred and other monetary losses suffered by the state resulting
8 from the unsuccessful protest. The state chief procurement officer shall hold an
9 informal hearing on the claim. Any money not awarded by the state chief
10 procurement officer shall be returned to the person who posted the bond or
11 submitted the security.
12 * * *
13 §1672.3. Action on contract claims
14 This Section applies to a claim by or controversy between the state and a
15 contractor arising out of a contract for professional, personal, consulting, or social
16 services. If such a claim or controversy is not resolved by mutual agreement, the
17 commissioner of administration, or his designee, shall promptly issue a decision in
18 writing. A copy of that decision shall be mailed or otherwise furnished to the
19 contractor, shall state the reasons for the action taken, and shall inform the contractor
20 of his right to judicial relief as provided in this Subpart. The decision shall be final
21 and conclusive unless fraudulent, or unless the contractor institutes suit appeals the
22 decision pursuant to this Subpart. If the commissioner of administration, or his
23 designee, does not issue a written decision within one hundred twenty days after
24 written request for a final decision, or within such longer period as may be
25 established in writing by the parties to the contract, then the contractor may proceed
26 as if an adverse decision had been received. A final decision of the commissioner
27 may be made executory by the Nineteenth Judicial District Court in accordance
28 with Code of Civil Procedure Article 2782.
29 §1672.4. Jurisdiction; actions in certain cases
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1 A. The Nineteenth Judicial District Court, subject to appeal or review by the
2 First Circuit Court of Appeal or by the supreme court, as otherwise permitted in civil
3 cases by law and the state constitution, shall have only appellate jurisdiction over
4 any claims arising out of a request for proposal or award of a contract, any
5 controversies involving the state, or any other matters in connection with a petition
6 for review of a decision made pursuant to this Chapter, following the exhaustion of
7 administrative remedies as provided by law or regulation. If the evidence, as
8 reasonably interpreted, supports the commissioner's decision, then the
9 commissioner of administration's decision is given great weight and shall not be
10 reversed or modified in the absence of a clear showing that the decision was
11 arbitrary or capricious.
12 * * *
13 §1683. Protest of solicitations or awards
14 * * *
15 E. Finality of decision. A decision under Subsection C of this Section shall
16 be final and conclusive unless one of the following applies:
17 * * *
18 (2) The person adversely affected by the decision has timely appealed to the
19 court in accordance with R.S. 39:1691(A). If the evidence, as reasonably
20 interpreted, supports the commissioner's decision, then the commissioner of
21 administration's decision is given great weight and shall not be reversed or
22 modified in the absence of a clear showing that the decision was arbitrary or
23 capricious.
24 * * *
25 §1685. Contract and breach of contract controversies
26 * * *
27 E. Finality of decision. A decision under Subsection C of this Section shall
28 be final and conclusive unless one of the following applies:
29 * * *
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1 (2) The contractor has timely appealed an adverse decision of the
2 commissioner to the court in accordance with R.S. 39:1691(C). If the evidence, as
3 reasonably interpreted, supports the commissioner's decision, then the
4 commissioner of administration's decision is given great weight and shall not be
5 reversed or modified in the absence of a clear showing that the decision was
6 arbitrary or capricious.
7 §1691. Actions Venue of actions by or against the state in connection with contracts
8 A. Solicitation and award of contracts. The Nineteenth Judicial District Court
9 shall have exclusive venue over an action between the state and a person, bidder,
10 proposer, offerer, or contractor, prospective or actual, to determine whether a
11 solicitation or award of a contract is in accordance with the constitution, statutes,
12 regulations, and the terms and conditions of the solicitation. Such actions shall
13 extend to all kinds of actions, whether for monetary damages or for declaratory,
14 injunctive, or other equitable relief invoke the appellate jurisdiction of the court.
15 * * *
16 C. Actions under contracts or for breach of contract. The Nineteenth Judicial
17 District Court shall have exclusive venue and only appellate jurisdiction over an
18 action between the state and a contractor who contracts with the state, for any cause
19 of action which arises under or by virtue of the contract, whether the action is on the
20 contract or for a breach of the contract or whether the action is for declaratory,
21 injunctive, or other equitable relief.
22 D. Limited finality for administrative determinations. In any judicial action
23 under this Section, factual or legal determination by employees, agents, or other
24 persons appointed by the state shall have no finality and shall not be conclusive,
25 notwithstanding any contract provision, regulation, or rule of law to the contrary,
26 except to the extent provided in: R.S. 39:1630, R.S. 39:1671(E), R.S. 39:1672(F),
27 R.S. 39:1672.3, R.S. 39:1673(E), R.S. 39:1683(E), R.S. 39:1684(E), and R.S.
28 39:1685(E).
29 * * *
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1 §1692. Commencement of actions
2 * * *
3 C. Actions under contracts or for breach of contract controversies. Any action
4 under R.S. 39:1691(C) shall be commenced within sixty days after receipt of the
5 decision of the commissioner under R.S. 39:1685(C) or R.S. 39:1672.3.
6 * * *
7 §1702. Cooperative purchasing authorized; participation in federal General Services
8 Administration vendor list
9 A.(1) Any public procurement unit may either participate in, sponsor,
10 conduct, or administer a cooperative purchasing agreement for the acquisition of any
11 supplies, services, personal, professional, consulting, and social services, major
12 repairs, or construction with one or more public procurement units or external
13 procurement activities or one or more private procurement units in accordance with
14 an agreement entered into between the participants. Such cooperative purchasing
15 may include but is not limited to joint or multi-party contracts between public
16 procurement units and open-ended state public procurement unit contracts which are
17 made available to local public procurement units.
18 * * *
19 Section 2. R.S. 39:1600.2(B) is repealed in its entirety.
20 Section 3. This Act shall become effective upon signature by the governor or, if not
21 signed by the governor, upon expiration of the time for bills to become law without signature
22 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
23 vetoed by the governor and subsequently approved by the legislature, this Act shall become
24 effective on the day following such approval.
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The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Senate Legislative Services.
The keyword, summary, and digest do not constitute part of the law or proof
or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
DIGEST
SB 151 Original 2025 Regular Session Mizell
Present law establishes the La. Procurement Code (R.S. 39:1551, et seq.) to provide for
procurement by public bodies, including provisions for procurement regulations, source
selection for items to be purchased and methods for such purchases, bid procedures, types
of contracts, specifications, contract modification, termination and contract clauses, legal
and contractual remedies, administrative appeals, and cooperative purchasing. Proposed law
modifies the La. Procurement Code as detailed below:
Advertisement Requirements
Present law requires adequate public notice of an invitation for bids for small purchases at
least 10 days prior to the date set for the opening of bids. Proposed law reduces the time for
adequate public notice from 10 days to five days and otherwise retains present law.
Present law requires notice and advertising for small purchases in excess of $25,000.
Proposed law eliminates the $25,000 threshold for small purchases and authorizes the
monetary threshold for small purchases to be set by executive order.
Present law requires competitive sealed proposals to be advertised in the official journal of
the state at least 30 days before the last day proposals will be accepted. Proposed law instead
requires advertising through a centralized electronic interactive environment administered
by the division of administration and on the electronic website accepting the electronic bids.
Proposed law allows the agency to also advertise in the official journal of the state and other
print media, depending upon the type of service being procured.
Present law requires the agency to provide written notice of certain competitive sealed
proposals to persons, firms, or corporations in a position to furnish the required services at
least 30 days before the last day proposals will be accepted. Proposed law allows this contact
to be made electronically.
Present law requires advertisements for requests for proposals (RFP) for applicable
consulting service contracts to be placed in national trade journals which serve the particular
contract for consulting services. Proposed law removes this requirement and instead permits
this method of advertisement and further requires advertising through a centralized
electronic interactive environment administered by the division of administration and on the
electronic website accepting the electronic bids.
Present law requires certain social services contracts not qualifying under present law to be
advertised in the official journal of the state, in the official journal of the parish in which the
services are to be performed and other media as appropriate in the circumstance at least once
30 days before the last day proposals will be accepted. Proposed law instead requires
advertising through a centralized electronic interactive environment administered by the
division of administration and on the electronic website accepting the electronic bids, and
allows the agency to also advertise in the official journal of the state, in the official journal
of the parish in which the services are to be performed, and other media as appropriate.
Present law requires consulting contracts entered into outside of DOTD with a maximum
compensation of $50,000 or more to be advertised in the official journal of the state and in
one or more newspapers of general circulation in the state 30 days before the last day
proposals will be accepted. Proposed law increases this threshold to $150,000 or more and
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instead requires advertising through a centralized electronic interactive environment
administered by the division of administration and on the electronic website accepting the
electronic bids.
Present law requires consulting contracts entered into by DOTD with a maximum
compensation of $50,000 or more to be advertised in the official journal of the state, with
the first notice appearing at least 15 days before the last day proposals will be accepted.
Proposed law increases this threshold to $150,000 or more and instead requires advertising
through a centralized electronic interactive environment administered by the division of
administration and on the electronic website accepting the electronic bids.
Competitive Sealed Bid Process
Present law authorizes competitive sealed proposal procurement to be utilized in certain
circumstances with the approval of the commissioner of administration and written
determination by the state chief procurement officer. Proposed law removes requirement of
the approval of the commissioner of administration to proceed with competitive sealed
proposal procurement and otherwise retains present law.
Present law requires RFP for all consulting, social, and professional services contracts not
otherwise exempt by law or regulation to indicate relative importance of price and other
evaluation factors and to clearly define the tasks to be performed under the contract and the
criteria to be used in evaluating the proposals and the time frames within the work must be
completed. Present law further requires all other RFP to clearly state the technological or
other outcome desired from the procurement of supplies, services, or major repairs, if
applicable. Proposed law makes these requirements uniform for all RFP by removing the
requirement that certain requests clearly state the technological or other outcome desired
from the procurement of supplies, services, or major repairs, if applicable.
Present law provides for a procedure in the negotiating and awarding of contracts.
Proposed law allows contract bid proposals to be modified or withdrawn at any time prior
to the conclusion of negotiations.
Proposed law requires the using agency to negotiate a contract with the responsible proposer
whose proposal is determined in writing by the using agency to be the most advantageous
to the state, taking into consideration review of price and the evaluation factors set forth in
the RFP.
Proposed law requires contract negotiations be directed toward making certain the proposer
has a clear understanding of the scope of work and the essential requirements involved in
providing the required work, service, or supply, determining that the proposer will make
available the necessary personnel and facilities to perform the services in the required time,
and agreeing upon fair and reasonable compensation for the services rendered.
Proposed law requires the contract to be awarded to the proposer if the contract can be
agreed upon with the most advantageous proposer.
Present law requires certain elements to be included in contracts entered into through RFP.
Proposed law adds a requirement that the commencement date of the contract must be at
least 14 days after the notice of award is issued.
Present law assigns full responsibility of administration and monitoring of the contract to the
using agency and provides requirements on reporting the performance of the contract.
Proposed law retains present law.
Present law provides that no contract shall be valid until executed by the head of the using
agency, or his designee, and the contractor, and has been approved in writing by the state
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chief procurement officer, or his designee, or the director of purchasing at a college or
university, if applicable. Proposed law retains present law.
Present law provides for a procedure for the head of a using agency to delegate authority to
a subordinate to sign contracts on behalf of the agency. Proposed law retains present law.
Proposed law requires the office of state procurement to send written notice of an award to
the contractor and a copy of such notice to all other proposers upon approval of the contract
by the state chief procurement officer.
Proposed law provides a procedure for failure to negotiate a contract with an advantageous
proposer that allows the using agency to enter into negotiations with the next most
advantageous proposer.
Proposed law further authorizes using agencies to select additional proposers to continue
negotiations in certain circumstances.
Proposed law authorizes proposals or other solicitations to be cancelled or other all proposals
to be rejected if it is determined, based on the reasons provided in writing, that such action
is in the best interest of the state. Proposed law further requires reasons for the cancellation
to be included in the contract file.
Present law requires a determination from the state chief procurement officer that other
contract procurement methods are not practicable before issuing an invitation to negotiate
procurement method. Proposed law repeals present law.
Present law authorizes consulting services contracts valued less than $75,000 for a 12-month
period to be awarded without the necessity of competitive bidding or competitive
negotiation. Proposed law increases this threshold to $150,000 over a 12-month period and
adds invitation to negotiate and cooperative purchasing as additional procurement methods
available to use for consulting contracts.
Present law authorizes consulting services contracts valued at $250,000 or more to be
entered into with the assistance of a procurement support team provided in law and in
accordance with guidelines created by the office of state procurement. Proposed law
removes the floor of $250,000 and otherwise retains present law.
Advertisement and Award of Lease Bids
Present law requires all contracts and agreements for lease or rental space be made in the
name of and by the authorized representative or representative body of the agency and
requires commissioner of administration approval on any such agreement. Proposed law
retains present law but removes the requirement of commissioner approval for leases or
rental space of a storage unit that is 1,000 square feet or less.
Present law requires every lease for the use of 5,000 square feet or more of space in a
privately owned building in which the state is a lessee be awarded by competitive sealed bid
with certain requirements. Proposed law increases this threshold to leases of 10,000 square
feet or more.
Present law authorizes leases of less than 5,000 square feet or less to be amended up to 4,999
square feet. Proposed law increases this threshold to allow leases of less than 10,000 square
feet to be amended up to 9,999 square feet.
Present law authorizes existing leases for office or warehouse space to be renegotiated with
the present lessor in certain circumstances. Proposed law retains present law but expands the
authority to renegotiate with lessors to any existing lease.
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Contract Controversies and Protests
Present law prohibits the state from proceeding with solicitation or awarding of a contract
under timely protest unless the state chief procurement officer makes a determination the
contract award is needed without delay.
Proposed law repeals present law and instead allows a protestor to obtain a stay of a contract
award if the following conditions are met:
(1)The protester has timely protested the award during the applicable protest period of
the contract award.
(2) The protestor posts a bond with a good and solvent surety or submits other security
approved by the office of state procurement valued at 25% the estimated value of the
contract.
Proposed law requires the bond posted or other security to be returned to the person who
posted the bond or security if the protest is upheld and the award is cancelled. Proposed law
requires the state chief procurement officer to hold an informal hearing on the claim to
determine the amount owed. Proposed law further provides that if the protest is rejected and
the award is upheld, the using agency may file a claim against the bond or security for the
expenses incurred and other monetary losses suffered by the using agency resulting from the
unsuccessful protest. Proposed law further requires any money not awarded by the state chief
procurement officer to be returned to the person who posted the bond or submitted the
security.
Present law requires the commissioner of administration or his designee to immediately
render decisions on claims by or controversies between the state and a contractor arising out
of a contract for professional, personal, consulting or social services. Present law renders this
decision final and conclusive unless the contractor institutes suit. Proposed law retains
present law but specifies that a final decision of the commissioner may be made executory
by the 19th JDC in accordance with present law (C.C.P. Art. 2782).
Present law provides the 19th JDC jurisdiction over claims arising from RFP or awards of
contract or other legal disputes surrounding contracts, given all administrative avenues have
been exhausted. Proposed law modifies this jurisdiction to having only appellate jurisdiction
in these matters. Proposed law further asserts that if the evidence, as reasonably interpreted,
supports the commissioner of administration's initial decision, that his decision shall have
great weight and not be reversed or modified unless there is clear showing that the decision
was arbitrary or capricious.
Present law provides a timeline in which filing appeals in protests to solicitations or awards
of contracts can be made to the commissioner. Present law establishes the commissioner's
decision to be final unless either the decision is fraudulent or an appeal is filed in court.
Proposed law adds that if an appeal is filed in court, that if the evidence, as reasonably
interpreted, supports the commissioner of administration's initial decision, the
commissioner's decision shall have great weight and not be reversed or modified unless there
is clear showing that the decision was arbitrary or capricious.
Present law provides a procedure to appeal decisions on contracts and breach of contract
controversies to the commissioner of administration for contracts other than professional,
personal, consulting, and social services contracts. Present law establishes the
commissioner's decision to be final unless either the decision is fraudulent or an appeal is
filed in court. Proposed law adds that if an appeal is filed in court, that if the evidence, as
reasonably interpreted, supports the commissioner of administration's initial decision, that
the commissioner's decision shall have great weight and not be reversed or modified unless
there is clear showing that the decision was arbitrary or capricious.
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Present law establishes the 19th JDC as the exclusive venue over an action between the state
and a bidder, offerer, or contractor to determine if a solicitation or award of a contract is
legal and provides for types of actions this entails. Proposed law adds actions between the
state and a person or proposer to the venue's exclusive jurisdiction. Proposed law further
limits jurisdiction of the 19th JDC to be appellate jurisdiction in such matters.
Present law requires any action to be commenced within sixty days after receipt of the
commissioner in decisions regarding contract controversies for contracts other than
professional, personal, consulting, or social services contracts. Proposed law adds
controversies between the state and a contractor arising out of professional, personal,
consulting, or social services contracts to the requirement of action to be commenced within
60 days and otherwise retains present law.
Cooperative Purchasing
Present law allows public procurement units to participate, sponsor, conduct, or administer
cooperative purchasing agreements with other entities to purchase of any supplies, services,
major repairs, or construction services. Proposed law adds personal services, professional
services, consulting services, and social services contracts to this list.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 39:1594(C)(1), 1595, 1621(A)-(C)(1) and (3), 1630, 1641(A), 1643(A),
1644(A)(1), (B), and (C), 1671(F), 1672.3, 1672.4(A), 1683(E)(2), 1685(E)(2), 1691
(heading), (A), (C), and (D), 1692(C), and 1702(A)(1); repeals R.S. 39:1600.2(B))
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